Emera Newfoundland says at least some workers on the Maritime Link project in Cape Breton are being laid off after one of its major contractors filed for bankruptcy protection.
Spanish company Abengoa is operating under creditor protection and is working on a plan to restructure $16 billion in debts.
However, Emera spokesperson Jeff Myrick says he doesn’t know how many workers will lose their jobs or when.
Abengoa was chosen to build 400 kilometres of overhead transmission lines for the Cape Breton part of the Muskrat Falls hydroelectric project.
Two weeks ago, the company was unable to meet its payroll, but has since paid employees.
Despite Abengoa’s financial troubles, Myrick says the transmission line is on budget and on schedule for completion, next year.